Serviceware SE: Strong Momentum in SaaS Transition

Serviceware SE has shown promising financial results, according to the latest research by Quirin Privatbank Kapitalmarktgeschäft. The company's transition to a SaaS-based model has driven an 11.7% increase in revenue, aligned with expectations. This shift has also seen a growth in recurring revenues and an improved order backlog, enhancing future visibility.

The company's strategic expansion, with new markets in North America and Asia, has supported growth, although affected by declining traditional license revenues. The EBITDA margin improved to 4.4%, exceeding expectations, owing to positive SaaS mix effects and operational leverage.

The order backlog increased to EUR 97.4 million and cash reserves are at EUR 34.2 million. With 5-15% revenue growth anticipated for FY 2025/2026, Serviceware's target price is raised to EUR 30, maintaining a 'Buy' recommendation.